Exxon Mobil has forged a significant agreement with Calpine Corporation to handle up to 2 million metric tons of CO2 annually from Calpine's Baytown Energy Center in Texas. This development is part of Exxon’s broader initiative to reduce carbon emissions through carbon capture and storage (CCS) technologies.

The Baytown Energy Center is an integral part of a project aimed at capturing carbon emissions, which will then be transported via ExxonMobil’s extensive CO2 pipeline system—the largest globally. The system facilitates enhanced oil recovery and permanent carbon storage, helping to deliver low-carbon electricity to consumers and supply steam to industrial sites nearby.

This agreement is Exxon's sixth CCS partnership, bringing its total CO2 contracts to around 16 million metric tons per year. It underscores Exxon’s strategic focus on carbon management infrastructure, following its recent acquisition of Denbury for $4.9 billion to access the largest network of CO2 pipelines in the United States, as noted by Insider Monkey.